What does an endorsement for sewer backup cover under HO policies?

An endorsement for sewer backup under homeowners (HO) policies specifically addresses coverage for damage caused by the overflow or backup of sewers or drains. Standard homeowners policies typically do not cover this type of damage, which is why this endorsement is offered.

The correct answer reflects a common limit of up to $5,000 in coverage associated with sewer backups, along with a deductible of $250. This means that, in the event of a sewer backup, the homeowner would be able to file a claim for damages up to the specified limit after paying the deductible. This endorsement helps protect homeowners from potentially significant repair costs that could arise from such an incident.

In contrast, general water damage is broader and might include various sources of water intrusion, but it does not specifically address sewer backup. Replacement cost coverage generally refers to reimbursement based on the cost to replace damaged property without taking depreciation into consideration, rather than a specific limit on sewer backup. Earthquake damage is a separate peril that requires its own endorsement or policy, and is not related to sewer backups. Therefore, the endorsement's specific terms and coverage limits are crucial for understanding the protections it offers to homeowners.